Saturday, January 22, 2011
Rockland County, NY - Yeshivah Files For Chapter 11 Bankruptcy Protection
The Ramapo-based yeshiva that is building adult-student housing on Grandview Avenue has filed for bankruptcy protection, claiming debts of $16.4 million associated with the complex.
Mosdos Chofetz Chaim's Chapter 11 filing on Monday also attempted to prevent a state judge from holding an investigatory hearing into whether the yeshiva illegally housed families in 17 apartments beyond his approval at the site just outside New Hempstead, according to a letter from the congregation's lawyer.
The letter stated the filing stayed all actions concerning the congregation.
Supreme Court Justice Frances Nicolai held the hearing anyway on Wednesday in the Rockland County Courthouse in New City and plans on hearing testimony and accepting evidence on Jan. 31.
The congregation's leader, Rabbi Aryeh Zaks, was subpoenaed to testify but didn't show up on Wednesday. He is expected at the next hearing date.